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tv   Street Signs  CNBC  March 6, 2014 2:00pm-3:01pm EST

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ak steel holdings, nation star, and valero energy up just under 4%, ty. >> all right. sue, thank you very much. see you when you get back here to headquarters. that wraps up >> bil"power lunch" for a thursday afternoon. thanks for watching. >> see you tomorrow. "street signs" begins right now. have a great afternoon. and it is records all around on "street signs." stocks up again. high fliers going even higher. but if you're getting a wee business nervous, today we'll bring you smart strategies for staying safe. the incredible price moves that just may ruin your next breakfa breakfast.
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what pandora did that some say strike as sour note, and what about your co-worker? want to know how much they make? mandy, take a job at whole foods. we'll explain. >> we will and bring you results later on in the show. i want to do something fun here. fig in the blanks. the dow, meantime, here, now less than how many percent from the record set on the very last day? of last year? >> ah -- one? >> yes. bingo! >> i did not -- tell the awed yat audience i did not look at the stuff. >> you did not look at the answers before. add the nasdaq, we can clearly see, going negative today, remains on strack for how many weeks of consecutive gains. >> 5.17. >> bingo. bingo! let's call it 5. round it down. the answer is 5. yeah. >> i got it? >> yeah. give you the .17 for fun because you're a good seller. >> sullivan strikes it. oh, sorry, sorry.
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>> let you stay on the show. >> thank you very much. all right. well, i'll add to your stats. only 76 s&p 500 companies are down over the past 12 months. and only 25 of those are down more than 10%. in other words, you've got high fliers everywhere, but none flying higher than these names. look at -- did you know micron technology mu, up 187% over the past 12 months? what about facebook? 164% 12 months. 30-some percent today. netflix, up about 147%. so those names have already taken off. are there any names that have yet to take off? your next guests think they've got some picks they love for the long run, ensco, apple, michael coors and energy. and bringing in from capital management and from al frank asset management. gentlemen, start with you. one of your picks, ensco, one of
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the few stocks in that down double digits over the past 12 months category i just put forth. why do you like ensco? >> right. well, again, in our system here, we're trying to buy things that are on sale, and, you know, the fact that the market is trading at near an alltime high with many stocks high flying, as you pointed out, we'd rather buy something that hasn't had its day in the sun with solid fundamentals. earnings are still expected to grow this year and next year. they're a contract driller. plus you get a dividend yield of 5.7% and the balance sheet is solid for a company like this. the payout ratio is well sustained and well supported. they could actually raise the dividend even more. there's ex-dent value in the oil drilling space and ensco would be my favorite name there. >> and i'm going to push back a little on your two picks here. a feeling i'm going to make a case for them. both coors and llg have already
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taken off. both high, 22% year to date and over the past year, yet you say they're taxiing along the runway ready to take off from here? >> you know, it's interesting, mandy. when i was asked to come on today, that's what i was talking about, was these are picks that we've had in our portfolio more than a year. great investments, and looking at them today and being on your show, we're talking about what do investors buy today. i still like both of these companies. michael coors has international brand recognition. they have a great earnings projection. their own forecasts are 25% growth overt next five years. there's not much i don't like about this company and it peaked at $100 a share within the last week to ten days. its backed up for investors. john's approach is looking at companies that might be good buying opportunities. another approach is buying solid companies that have a lot of growth projections and at the top of their game. that's why i like both of these companies. >> hmm. >> a little company called
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apple, john that is -- >> it's interesting, brian, apple is a whole another story. a change of environment, change of leadership, and so it does -- it isn't the same company that we've all enjoyed for the last ten years. >> what about you, john? apple is your pick. down 5% so far year to date. over the past year, hthough, up by 20%. a lot of people have been waiting for this company to take off? >> believe it or not, it's performed really well for us. we first bought it in 2003, a newsletter at about $7 and enjoyed the run. taken money off the table along the way. right now, though, if you think about apple, you have a stock transitioned from a growth company, if you will, back into a value investment. trading at very inexpensive multiple once you strip out the $160 or so on the balance sheet. a pe of 9 net of cash and i love dividends. put out a special report, about to put out one for favorite
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dividend paying stocks. they're both names. >> as i say, down year to date 5%. it's done spectacularly well over the years but this year so far, what's the catalyst to start, giving back a little? >> well, we have had a catalyst, of course, in carl icahn, who's agitated. the company has been buying back stock. after the earnings announcement came out, they bought back $14 billion worth of stock. immediately after the market was short sided market, knocked the stock down to $505. i think we have a fantastic balance sheet. i think we have to give the company the benefit of the doubt. because they've created phenomenal products. we joke if apple put their name on a washing machine, everybody would want to buy it. we have faith there will be new products coming. tim cook said as much at the last earnings announcement and we think they'll have that.
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even if they don't, people are still trading and buying. >> well, they are. john, they are going to put their players, and make the case quickly. >> brian, this is a very exciting area of our country as the energy renaissance. a net importer for 50 years and now made the turn to being a net exporter. natural gas has so much application and a transformation of innovation and businesses, and in retail, and so companies that are on the cutting edge of being able to transport, able to move natural gas within our country, they're building infrastructure in trains, black rock's invested $2 billion into trir products. exciting area. the new apple of going forward. >> the new apple. doesn't everyone want to be the new apple? >> yes. >> thanks for joining us. strap yourselves in. >> i will. >> yeah. on deck, yesterday's "street signs" theme was more about risk. we talk a lot ar stocks and
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betting big. today we're all about taking cover. coming up, two weapons to help you protect your money. plus, warmer winters. fewer hurricanes and the forecast is out, but there's a cost. we'll explain that ahead. and also whole foods or hunger games? the grocery giant let's employees look at each other's paychecks. fancy that? should you really know your colleague's salary? head to streetsigns.com. we'll let you know when "street signs" returns. ameriprise asked people a simple question: can you keep your lifestyle in retirement? i don't want to think about the alternative. i don't even know how to answer that. i mean, no one knows how long their money is going to last. i try not to worry, but you worry.
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block we talked stocks and risk. now let's do our own flight to safety and make the case for bonds. joining us, eagle asset management james camp. jim, bonds and i mean this with all due respect. bonds can be a little boring, but protecting your money is not. right now, what fixed income products get the best combination of safety with
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one of the areas we favor most right now is the municipal bond market. if we look at the flow of funds that came out of fixed income, in part due to the interest rate hiccup of last spring but in reality, sort of a collective thought bonds were a little long. we saw a lot of flows coming out of this space. for the first time in 34 weeks we've seen that inflow. but the majority of the flows on income producing stocks and from taxable security. that's the compelling area for us now. intermediate and municipal bonds. >> what's the risk here?
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the whole point of this particular segment is correction protection. what is the risk for many municipal bonds? >> well, underlying that, mandy, the treasury rate. we know what happened in january when we had the equity markets sell off a bit. we saw a dramatic flight to quality in u.s. treasuries. we have also seen per your prior segment a great deal of allocation in long-term treasurer rirs as pension managers and linlt driven investors have to lock in gains from 2013. so for us, we have a reasonable outlook that the yield curve will be pretty well behaved given inflation, and the slope of the curve gives intermediate and longer term bonds capital po
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tegs and demand continues and they roll down in terms of turns. that to us is the sweet spot. >> we were supposed to have bill grose on, let our viewers know. he's coming on soon. had something come up. seeing outflows, jim. much made about the entire bond market seeing outflows, both munies and treasury bonds. are you seeing that? are people still coming -- are they interested in bonds right now? >> well, eagle
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sometimes hits the west coast hard. a big el nino in the past.
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we could use the waste in california, but if we get too much, the el nino of '97-98, caused a lot of damage. a 50/50 chance years its ugly head by summer or fall. if it happens, the big impact will be on agriculture. i only know being of pacific water, bringing cool weather at the worse time. when the harvest gets under way, affecting soy and corn prices and it can have a major agriculture impact. texas a&m economists say it cost $3 billion in farming losses,çs there is like australia and south africa get hot, dry weather and places like peru are flooded and see fishing disrupted. i think it could have major consequences, says one government scientist, if it does appear, adding suddenly global warming kicks into a whole new level, and in the last couple of
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years, guys, we haven't seen either the warming el nino nor his cooling sister la nina. been in what the "los angeles times" calls, la nada. nothing. back to you. >> jane, well said. thank you. so how could this eventually effect crop, energy and other industries? of course, impacts how we invest. bring in the weather channel's business analyst paul. already seeing devastating effects of that in australia. some property expected to be cut by 25%, a terrible drought, massive heat waves. not just agriculture but what else do we need to know about the impact of el nino? >> i think what i'm looking at mostly is the fact that, as jane noted, right now the prediction is there's about a 50% chance that el nino will develop. that's not even saying it will be a strong el nino. so the last really strong el nino we had was in 1997-98 which caused all the problems that jane talked about. so right now, from a risk
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perspective, the risk is really not very high.ç so i'm not too concerned about it, of course, we have to look at it. i think the main thing we're going to look at this year is really going to be from a risk perspective, hurricanes and the potential impact on the insurance and energy sector and primarily because of the comparison to last year. last year we had nada. zero hurricanes. >> paul, glad you brought that up, because if i remember correctly, they were calling for a fairly active hurricane season, and your point, we got zero. now it's, of course, zero degrees for three months straight for most of the east coast? what's going on? >> a great question. we're continuing to see this incredible weather volatility, where we're getting both sort of e extremes. west coast, extreme heat and dryness. across the east, extremely cold and staying a long time.
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as we move into the summer, i'm looking at continued volatility, continued volatility as it relates to spring, so we get into the spring season. i think probably more tornadoes than last year. only had 50% of normal last year. we'll probe is nably have more hurricanes because basically we had zero. more weather vol itty moving through theç balance of this yer and also, brian, i think when spring finally breaks, not exactly sure when it will be but within the next few weeks, a really strong start to the retail season because all of us are sick of this cold weather and nasty -- >> got to go. you can confirm, there will be a spring? it will happen? >> absolutely will. 100%. >> oh, you're welcome back anytime, buddy. >> ask punxsutawney phil. so bad at predicting the weather. >> on line one. hold on. a call-in show. if you think the fed impacts
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the markets, you need to listen to this. seriously. every month we note many federal reserve members give speeches. right? which fed members can actually move markets the most? steve liesman is here and steve is not alone. he actually brought a guest. >> yes, because i was not going to do the research on this myself, brian. not by a long shot. i read it all the time, but larry from macro economic advisers, former federal reserve governor tallies urp the movements of the ten-year note based on speeches. we're going to do a series of awards here. larry, talk about the guy with the biggest mouth. i don't know if you want to put it in that context, that's the way i did. the runner-up, st. louis president bullard. hoop the winner, çlarry? >> no. the person with whom can move markets the most is jim bullard. >> the guy who speaks the most? >> oh, speaks the most? well fisher is number one. >> there you go. >> and bullock, number two. >> right. >> and of course you know we're
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173 speeches by fomc members. 12 1/2 on average from presidents. bernanke only gave five speeches. >> talk about the one who moves the market the most. bernanke was only the runner-up and you gave away the winner already. >> yeah, well -- you know, you have to remember that there are two parts of this. one is how much you talk. and the second is, how much impact you have per talk. >> we're going to get there now. get there now. larry. the power player, yell vrn and stein and the winner is bernanke. this is basis points moved per speech? >> right. so we really want to see the chairman win this award every year. i'm not trying to put pressure on janet yellen, but the chairman is the messenger. okay? he's the one that should be giving the first hints of the change of the course of monetary policy. so i do think it's important that bernanke is the winner basically every year of this, well, not every year, but the
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chairman should be winner andç congratulate the chairman. >> surprise you on-air. we have one called the futility award. a tougher name but -- the runner-ups are chicago president evans, rosenbrand, but the winner is dallas president richard bishop. talks the most with the least impact. why is that? >> he talks the most. >> answer to my question. >> the more you talk, the less impact -- >> this is why news anchors have zero impact in people's lives. >> look, his views are very well known. okay? so you get sort of repetition of them, what he talks and he talks a lot. he's also outside the consensus. you're getting information about what they're going to do if you listen to talks by richard fisher. that doesn't mean there aren't insights, but that's -- that's why if want to doll futility,
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okay. >> larry, walk us through how to use this data. given all of this great stuff you put together what does this tell me about who to listen to, when to listen and how to listen? >> so i think that the most important thing is, the impact per speech. okay? we want to know,ç that's who t listen to. we should be listening principally to the chairman. he delivers the central message. we have to remember here, that we haven't talked official communications. we haven't talked about the press conferences and the statements, and they have the, you know, the largest overall impact. and you can see that press conference and the statements in june and september, first and 13 basis point rise, 17 basis point decline. so varying to the impact of the statements, but when people talk, you want to listen to the chairman and you want to pay less attention to the people whose views matter less, because they're way out of the
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consensus, or who -- you have -- you know what they're going to say. >> or chairwoman as the case may be. i know it's an early day. not many speeches while yellen has been in the chair. what do you make of her communication in terms of how accurately the market responds to what she says? >> two pieces to that question, mandy. how she talks and the markets learning to listen. a whole difference cadence to greenspan. a few years to listen to bernanke and now time to listen to janet. that's the learning curve we're all on. i think she'll be okay. designed the communications strategy but has some education to do and weç have education t do. >> i just need to thank larry for doing this work so i didn't have to. >> yes. >> thanks, larry. >> thanks, steve as well. thanks, larry. still ahead, rummaging through wall street's bargain bin. shopping down the bottom. one clearance sale. this, before prices head up, likely. hard to believe.
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whole foods let's its employees look up how much each other is making. so we're asking, would you be okay with that? should you -- should, not would you like to -- should you be able to find out your colleagual salaries? easy vote, folks. yes or no. go to streetsigns.cnbc.com right now, unless you're driving. ♪ [ girl ] my mom, she makes underwater fans that are powered by the moon. ♪ she can print amazing things, right from her computer. [ whirring ]
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time for your "daly rundown" call eed "street talk." from a buy to a hold, good for 1% there. >> a double call here. get to that in a second. 96, about 11% higher than apc is trading now. but it was also added to the top picks list at credit suisse.
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added dow chemical and others. >> and young brands, upgrade to outperform. >> seems to be helping. >> it does. >> stock's up 3.25 to $7 something a share. a time horizon beginning to build positions, of course, china, mandy, you know, a big weight on young brands. they think that's finally getting better. there you go. positive call. >> and of course, what happens in china, incredibly important. meantime, look at tiffany. sparkling. 52-week high also upgrade to a buy over at citi group. >> not a big help today. stocks up -- >> 0.1%. >> here's what you said. at an all-time high.ç analysts at citi group think sales will get better because of design teams helping margins. the target bumped to 110. about 17% higher than tiffany stands now. >> uh-huh.
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also got new star energy, upgrade to overweight from mutual at jpmorgan. >> stock's up. their target increased to 60 from 51. new it star, pipeline storage company, 8.3% dividend. careful, though. the average analyst analyst ta $52.75, which is where the stock is right now. so most analysts may disagree with this call. keep that in mind. >> and then we have a little play. realty trust. why mention it here? ever so slightly lower as we speak it is nonetheless around 52-week highs. >> coverageoverage reinstated w conviction buy at goldman sachs. they think the real estate market and underperformance of the stock market lately are two good reasons to buy into vornado. a 17% on the upside according to goldman sachs. up 11% today, another one with a decent dividend. not newstar-like, but decent.
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moving on from "street talk" to "talking numbers." is general motors talkingç outf both sides of its collective mouth? on one hand, hiking up full size trucks, on the other telling analysts it will maintain what it calls premium pricing. how does it do both and what does it mean for the stock? talking numbers, rich ross on the fundamentals, and rich, i'm going to start with you on the charts. okay? because some big time hedge funds actually have been buying or reported to have been buying into gm over the last quarter. technically, do they look right? >> big time hedge fupds for a reason, because they're very smart. in this case you want to do exactly what they're doing. gm has been a stock i've liked over the last two days become a stock i love. look at this shorter term chart. 2013, fantastic. january, not so much. decline along with the broader market. the rub, a 17% stock in gm as
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the company is viewed as a convenient scapegoat for the worrisome em. too much. i love the way the stock holds in this key horizontal support, now broken above key resistance in the short-term at $37. all we need, get above the 52 after forge a retest of the old high around 42. quick, zooming out. longer termç weekly, strengthening the bull case. that 17% decline. i love the key reversal right at the 50 week moving average, then reassert ourselves to the upside telling me the longer term trend is intact and use that short-term pullback as a compelling buying opportunity. >> john, rich mentioned the word love twice. right? he's very bullish, started to love this stock in the last couple of days. fundamentally speaking. does he have a right to love it? >> absolutely, mandy. he absolutely does. not because it looks cool with spinners and tinted windows.
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everyone should have one of those. spinners. the reality, a super cheap stock trading 17 times cheaper, relative to the group, the group about 8.9. a cheap stock launching a whole new series of stocks, of cars, a whole new series of platform. they're stronger, lighter weight, better power train and, of course, discounting early on to get sales in the door. pricing overall is much more important. they can boost sales by 10 grand a car. huge for the bottom line for them, and they're going to move and standardize the global platform around the world. going from 50% to 70% over the next five years. that's huge, and around the world, startingç to fire all cylinders. china and u.s. doing great. russia, eu, a little weak, still turning the corner. that's also positive. >> and a lovefest with gm both technically and fundamentally. i hope you're right. i hope that's a lovefest that
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works out well for you. >> sounds like they're telling people to -- back up the truck. gm stock. the silverado. check on the online edition of "talking numbers" all part of our partnership with the great yahoo! finance. up next, breakfast club economics. no it has nothing to do with molly greenwald and judd nelson. any bank bargain stocks left as well? we're going to try to help you make some money. and later on, brian, would you like to know how much i make? >> no. probably crawl into a ball and weep. >> not necessarily. would you like to know how much your co-workers make? should you be able to find out what your co-worker's salary is? maybe there is such a thing as too much prosperity. first, check in with the "closing bell" gang. hey, gang. >> mandy, brian, thanks very much. we'll stay away from colleagues salaries. >> yes, we will. >> and talk about the zp 5s&p 5. whether tomorrow's jobs report could stall the rally or send
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this market higher? >> also, facebook maying down2 today. shares this year up 30%. is the red hot stock showing signs's running out of steam? that's on facebook, just ahead. >> and we've got the unlikely person leading the charge to raise the minimum wage, and he's a multi-millionaire republican and you'll never believe why he's championing this cause. >> that and much more coming up on the most important hour of the trading day at the top of the hour in "closing bell." we'll see you then. tdd# 1-888-628-2419 our live online workshops tdd# 1-888-628-2419 like identifying market trends. tdd# 1-888-628-2419 now, earn 300 commission-free online trades. call 1-888-628-2419 or go to schwab.com/trading to learn how. tdd# 1-888-628-2419 sharpen your instincts with market insight from schwab tdd# 1-888-628-2419 experts like liz ann sonders and randy frederick. tdd# 1-888-628-2419 get support and talk through your ideas with our tdd# 1-888-628-2419 trading specialists. tdd# 1-888-628-2419 all with no trade minimum. and only $8.95 a trade. tdd# 1-888-628-2419 open an account and earn 300 commission-free online trades.
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we just talked about anadarko getting two positive calls today. two other leading oil games leading the s&p 500. marathon petroleum up 3.6% to 8932 and refiner valero up 3.6%. marathon, we're told in it for the long run. >> yeah. i was going to do -- >> delayed -- for the long run? credit from marathon. >> yeah, that's good. yeah, maybe. short as well, in it for the short run. >> that was a fail. the cost of your morning meal is sure to rise. okay? we know jane has been talking
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about bacon. fantastic. guess what? what happens you should haveç ignored stock, bonds even gold and bought food commodities instead. yes, bacon, vis-a-vis lean hock futures up year date. did you know that coffee -- hmm -- up 78% year to date. >> yeah. okay. and eggs, by the way, at a record high. unbelievable. i mean, so much -- >> point out that orange juice. >> skyrocketing, around two year highs. a lot of this comes back to what's happening in brazil. talk about the drought in brazil and what it's goidoing to coffe prices. also orange juice. they provide about half of the world's orange juice. >> from brazil? brazil does, yeah. orange juice, a big story. so all of these commodities are up. i don't know if it's coincidence or not. because we did that story. i thought, i wonder what
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denny's -- grand slam, rooty tooty -- denny's shares down 9% year to date. no? if they're related, a lot of margin pressure on the restaurant. breakfast folks. >> the fear about the quac populous. routine filing, because of high avocado prices might have to temporarilyç suspend guac moll. don't worry. not going to do it. but because of high prices. >> the word, ice poklis. >> sometimes -- >> pretty soon. check out the financials, right? financials on a nice run. in fact, kind of quiet. bank of america up more than 5%. morgan stanley, same, jpmorgan, two things. a good sign for stocks overall. the market likes seeing financials leave. two, any left in the bargain? bring in jeff, aside move to the other b. banks. any stocks you still think are
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underguided? >> generally the financial space, yeah, a decent run, but the economy's getting better. that's good for banking and finance. then they should be leading pt the names i like in large cap space lead off with jpmorgankind of underperformed year to date, but that's really due to all the headlines and kind of things we will to deal with last year in the litigation front. as i look to this yeeshar, i th earnings will be a lot higher, better than people are expected. obviously things good in the economy are good for jpmorgan. i look at that stock as trading just over eight times next year's earnings. investment banks, goldman, morgan stanley, tradingç just north of 9. typical bank north of 12. a big valuation discount. the fundamental performance of jpmorgan will prove strongly this year to see that multiple expand. >> kind of a transition year. right? when you talk about how hopefully good things in the economy will translate to good
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things for jpmorgan, you've got it at a buy here. to what degree are we seeing sme? low demand picking up? something not just for jpmorgan but other banks as well? >> well, we're seeing signs of it. now i've got to preface. like the cycle, seen signs, knoll materialized. it has a feel like it's sticking a little better here. i think actually the mna cycle does as well. things are moving in the right direction there. the big thing for jpmorgan, back out the litigation expenses and don't get me wrong, they were big, but if you don't include those, they put up with 15% rote last year. already delivering on a fundamental basis, kind of just a matter of getting past these headlines, so to speak, i think. >> and out there, obviously, gpm, massive company. anything off the radar that you particularly like? >> well, covering a lot of large cap names, thing ice cover to get off the radar, but i do still kind of like within the mna boutique space.
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say an evercore, çlasar. leverage what we're seeing in the mna cycle and evercore, evr case, gaining market share. a place they tend to be volatile in stocks but a place to get a little more bang for your buck and not quite the macro attention at goldman sachs or a jpmorgan. >> talk to me briefly about morgan stanley. a nice pop this week, 3% to 4%. an update on strategic plans. what do you like about it? >> it's performed well. a lot more to come for two reasons. one, retail banking. excuse me. wealth management. retail brokerage. they're really delivering there. estimates are still too low and not fully reflecting how well they're delivering and look at morgan stanley as an invest bank with retail broker. now you look at it as a retail broker with an investment banks. it's going to fundamentally increase its multiple going
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through this year into next year. >> and just below $32. you see it going to $37. thank you very much, jeff. >> fun, thanks. since we've been talking about big banks, the golden elevator book has been scrapped by its pup lisher. the statement, in light of information recently that's come to our attention since acquiring john la "straight to çhell" th decided to cancel its publication of this work. didn't you say that? >> i said that now that john lefebv lefebvre, andrew broke the news, now that his name is out there and he's been in the press and the fact he doesn't work for goldman sachs, it's still funny, a parody, actually, you're just making stuff up. >> it's only a parody if there's actually a little truth to it, right? >> like the general mills stairwell account. right? flakes aren't at frosted as they used to be's if you're making it up, it's not as relevant.
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plus, smith's book didn't sell. anyway, the stock move that might prove the streaming music space is a little too noisy. plus is there such a thing as a starter ferrari? >> we'll find out. and you still ç
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well, pandora hitting a sour note. the stock down after losing last month. so what could this mean not only for pandora but other companies heavily invested in internet radio? let's bring in web boost security analyst. what do youç make of this? not just the listening hours are down, but they're not going to keep on revealing the numbers. doesn't that scream a massive red flag to you? >> it's some kind of flag, yeah. the growth is slowing, if not down. i remember when "the new york times" used to release monthly sales numbers. they stopped that in 2008, 2009. they didn't do it because the numbers were awesome. they didn't want to freak investors out. they're also saying the numbers are going to come back, by the way. we'll see. >> michael, what do you think? >> you know, i agree, it's a red flag.
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they've said they're going to release monthly numbers through june. so through the may month. so we'll have it for another few months. there's clearly seasonality. i think the market reaction just tells you the stock was priced for perfection. the truth is, their percentage share, their market share of all radio listening went up. so it's true. there was seasonality across the board. i think the market paying nine times revenue for this stock is telling you they have to execute flawlessly. if they have any kind of a hiccup, we're going to see the stock trade off. >> michael, does pandora have the early adopter lead that's strong enough to fight off what daily now seems to be a new competitor? >>ç no, i think the early adopr lead is sustainable only because they actually have a compelling service. i mean, the music genome actually works. i don't know if you're a pandora listener. >> i'm a subscriber for pandora
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one. >> it totally works. and truthfully, itunes radio doesn't work. the other guys don't work. i think people who dabble with the other stuff are not satisfied with the experience. i think this competitive lead is sustainable. but unbridled growth is not likely. they're already at a quarter of the u.s. population. >> they're very big right now. >> double or triple. >> they're very big right now. peter, you said you'd be surprised if itunes is significant compared to pandora. there are a lot of other players. amazon is looking to get into this space. youtube is looking to get into this space. how long can they retain that lead? >> they've been retaining it for a long time. a year ago it seemed like apple would be a credible competitor for them. by all accounts, that's been a disappointing product, both for labels and for apple. we'll see what amazon and youtube do. if you're a pandora investor, you have to be comfortable with the idea more and more folks are going to come into the space. but this is a mainstream product here in a way that spotify would
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love to be and itunes is not. a lot of people are already using this thing. we have to figure out howç to sell ads against this stuff. >> michael, peter, thank you very much. the stock down by 1.57%. at wholefoods, employees can look up anyone's salary or bonus from the previous year all the way up to the ceo level. the co-ceo says the policy so to promote transparency and healthy competition in the company. we asked you to weigh in. >> should you know your colleague's salaries? this is surprising. 51% said yes. i thought it would be -- now, maybe people are thinking this poll is like would you want to know, not should you. >> and some of the comments that go with it for those that say you should know, you know, we're living in the modern world. it's about transparency for most competition. it aspires you, et cetera. i'm not telling you. >> up next, the starter ferrari.
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and a quick news alert out of washington, d.c. the house began voting on fast-tracking a $1 billion aid package to ukraine. we'll tell you the outcome when it happens. meantime, robert frank is here to tell us about the new ferrari, which you say is a starter ferrari. >> this is one of my most affordable "street signs" segments ever. under $200,000. we really just want to show you the car because it's really cool. they just launched it this week
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at the geneva auto show. ferrari's first turbo in 25 years. it's got an çeight-cylinder engine. you can fit golf clubs and skis in the back. again, $198,000. the california tee for ferrari. >> thank you so much, robert. thank you for watching "street signs." >> "closing bell" starts right now. welcome to "the closing bell." i'm kelly evans here at the new york stock exchange where this historic bull run continues. >> i'm bill griffith. the s&p is trying its record close again for the week once again. the dow needs a gain of a little better than 150 points to close at a new high. that doesn't look possible. but the s&p doing very well despite an escalation of sorts between russia and ukraine. >> while we know march 9th

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